Ludhiana, March 2026 – The Ludhiana Municipal Corporation is battling a persistent property tax compliance gap, with over 1 lakh defaulters across the city’s four municipal zones failing to clear dues despite a series of enforcement drives, OTS windows, and now a doorstep collection initiative using handheld POS machines. According to MC officials, around ₹142 crore has been collected so far in the current enforcement cycle, while the corporation has set an annual property tax collection target of ₹160 crore. The remaining ₹18 crore is largely pending from property owners who have not yet cleared their dues. Municipal officials believe the doorstep service will help recover these pending payments by reaching taxpayers directly and simplifying the payment process. The civic body has also instructed staff to identify long-pending defaulters during the visits and encourage them to clear their outstanding amounts.
There are 4,23,906 properties in the municipal limits assessed to pay property tax, with the total number of property tax defaulters having grown to over 92,000 with arrears swelled to more than ₹14.71 crore.
The Doorstep POS Initiative
The Ludhiana Municipal Corporation has introduced a doorstep property tax collection service to make payments easier for residents and improve recovery of pending dues. Under the system, civic teams equipped with handheld POS machines visit residential and commercial properties to assess and collect tax on the spot. The corporation has deployed 48 machines across four municipal zones and allows payments through cash, cards, UPI, bank drafts, and digital transfers, with instant receipts.
The initiative addresses a specific friction point: many defaulters particularly older residents and small commercial owners have historically avoided self-filing due to unfamiliarity with the online portal. Bringing the point-of-sale terminal to the taxpayer removes this barrier while simultaneously enabling on-the-spot tax assessment for properties not yet in the system.
Government Departments Among the Biggest Defaulters
The Ludhiana Municipal Corporation has escalated its efforts to recover outstanding property tax dues from government departments. Notices have been issued to various departments including the Greater Ludhiana Area Development Authority (GLADA), Public Works Department, and Punjab Agricultural University, for properties where commercial activities are conducted without tax payments. MC officials are also displaying photographs of defaulting properties to encourage compliance. If departments fail to settle their dues, the MC plans to inspect properties, calculate the tax owed, and take enforcement actions including sealing buildings if necessary.
The irony of government departments being among the largest defaulters, in a city where the MC is simultaneously pursuing private sector and individual defaulters, underscores the structural challenges facing municipal revenue administration in Punjab’s largest city.